Baker Hughes Co - Class A

Baker Hughes delivered a profit beat in the third quarter of 2024, posting adjusted diluted earnings of $0.67 per share against a consensus estimate of $0.61, a 9.84% beat, though revenue of $6.91 billion fell short of the $7.22 billion analysts had expected despite growing 4.0% year-over-year. The standout driver was a remarkable expansion in margins, with total company EBITDA reaching $1.21 billion, up 23% from a year ago, and EBITDA margins hitting 17.5%, the highest since the company's formation. The Industrial & Energy Technology segment led the way, with revenue climbing 9% year-over-year to $2.94 billion and record remaining performance obligations of $30.20 billion, underscoring durable demand for gas technology and compression equipment even as broader oilfield services spending growth has moderated industrywide amid cautious customer sentiment. Free cash flow surged to $754.00 million from just $106.00 million the prior quarter, and management signaled confidence in hitting full-year EBITDA guidance at the midpoint, with both segments tracking toward 20% EBITDA margins.